ANNEXURE-III Government of India
Ministry of Communications Department of Telecommunications 415, Sanchar Bhawan, 20, Ashoka Road, New Delhi.
No. 31-13/91 PHS
Dated:24th july, 1993
To,
All Chief General Managers, Telecom/Telephones,
The Chief General Managers, MTNL, New Delhi/Mumbai
The General Managers, telephones
Subject: Review of policy on STD PCOs.
Under the orders of Hon'ble MOS (C), the liberalised policy of allotment of STD payphones enumerated in our office memo NO.31-13/91 PHB dt.14.08.92 has been reviewed with a view to  provide greater employment opportunities to educated unemployed. The following guideline issued for implementation with immediate effect.
I.
GENERAL
1.
ELIGIBILITY
Only educated unemployed persons are eligible to apply for allotment of PCOs. They should produce an unemployment certificate from their local MPs/MLAs/Revenue authorities of the rank of Tehsildar and above Employment Officer/Chairman or Member of Zila Parishad/Panchayat or Village Pradhan or Secretaries or recognised Social Organisations like Rotary Club/Lions Club etc. who have jurisdiction over the locality here the applicant resides. The educational qualifications for the applicants are:
i)
For rural areas: 8th or middle school pass and above.
ii)
For urban areas: at least matriculate or High School and above.
Application is to be submitted in the prescribed proforma enclosing the unemployment certificate and agreeing to the terms and conditions prescribed by the Department of Telecom for the operation of STD PCOs.

2.
SELECTION OF BONAFIDE PERSONS:
A committee with a composition as given below will select the applicants for allotment of STD PCOs after proper scrutiny and verification of bonafides. As a check against possible frauds, photocopy of the unemployment certificate may be sent by registered letter to the issuing authority with a covering letter requesting for getting it verified. The committee will allot the available number of PCOs giving preference to following categories of persons:
a)b)
Handicapped including blind persons
SC/ST applicants
Ex-servicemen/War widows
c) d)
Retired DOT employees or their dependents
e)
Dependents of Freedom Fighters
f)
Charitable Institutions / Hospitals
The committee will be fully authorised to allot STD PCOs and also decided the location of the new PCOs
COMPOSITION OF COMMITTEE
a)
The committee for allotment of the new STD payphones would consist as under:
(i) (ii)
Head of SSA Chairman
An Officer from the Finance and Accounts Wing of the Department working under
SSA Head such as AO/CAO etc. Member.
(iii)
Three Non-official members would be nominated by the Ministry for a tenure period of two years.
3. PROCEDURE OF ALLOTMENT

The committee will meet atleast once every month depending on the amount of work relating to allotment of STO PCO to scrutinise and select the applications from the eligible persons for STD PCO allotment.
4. LOAN FACILITY TO STD PCO ALLOTTEES
SSA Head will issue a certificate of allotment of STD PCO to the allottee to enable him to seek loan etc. from scheduled banks. SSA Head will also I provide all assistance in this regard.
5. EXTENT OF PROVISION
Upto 5% capacity of the exchange lines is to be reserved for allotment of PCOs (STD and
Local). 

6.

TYPE OF EXCHANGE TO WHICH STD PCOS SHOULD BE PARENTED
STD PCOs should normally be parented to an electronic exchange only. In a pace which is served by electro mechanical exchanges, a new 120P C_DOT electronic exchange or an electronic exchange with a higher capacity with 16 KHs home metering capacity can be opened and all STD payphones may be parented to this electronic exchange. The call loggers working with these STD PCOs would be opened on 16 KHz cycle pulse from the parented electronic exchange.
7.
(i)
(ii)
(iii)
(iv)
GENERAL CONDITIONS
One applicant should be provided with only STD Payphone. However, the existing bulk franchises will continue to operate as per terms and conditions of their existing agreement.
All STD Payphones should be so installed that they face public road/lane to allow free access to public.
The opening hours of such public telephone would be atleast from 6 A.M to 10 P.M.
Terminal equipment used by the allottee should be interface approved and they should not be programmable locally. Simple call loggers / Charge indicators manufactured by Hindustan Teleprinters Ltd. or other manufacturers which are interface approved by the department should be used. Use of stop watch will not be permitted (List of approved charge indicators is being calculated separately).
(v)
The allottee of STD PCO will be entitled 20 paisa per call unit upto 10,000 call units, 15   paisa per call unit upto in the range of 10,000 to 20,000 call units and 10 paise per call unit beyond 20,000 call units as commission for the total number of call units made over a period of one month.
Procedure for recovery of security deposit and bills from STD PCO allottees will be as under:
Two accounts either in a Public Sector Bank or in Post Office Saving bank will be opened in the name of Department of Telecom in which the allottee will deposit daily the entire collection of the day after deducting 20 paise per call unit upto 10,000 call unit, 15 paise per call unit in the range of 10,000 to 20,000 call units and 10 paise call unit beyond 20,000 call units as commission for the total number of call units made over a period of one month. The A.O (TR) will monitor the proper deposit of the amount by co-ordinating with Bank / Post Office and will also ensure that all bills in respect of these STD PCO are timely adjusted from above account. The other account will be in the name of the allottee and it will be pledged to the President of India. The allottee will deposit 5 paise per call unit in this account daily towards security deposit and this deposit will continue to be made till the amount becomes equal to Rs.5,000/- in respect of Urban STD PCOs or Rs.620/- in the case of rural STD PCOs or average one month revenue whichever is higher. In rural areas, if the facility of Bank or Post Office is not available nearby, the above deposits can be made weekly. The telephone inspector and JTOs in the field will periodically inspect and check the passbooks of PCO allottees for prompt depositing. Defaulters, if any, in this regard should be brought to the notice of higher authorities for taking action against them. Lapses on the part of the field staff during inspection will be dealt with severe penalties.
(vi)
The security deposit can also be deposited in cash in one installment or be in the form of 
l
a Bank Guarantee.

vii)
Rate of pulses should be displayed prominently by the allottee of STD PCOs for all important stations in the country and all stations within 200 Kms.
(viii) The applicants have to apply in the prescribed form for the allotment of STD PCO.
(ix)
The applicant should sign an agreement in the prescribed form with the Telecom Authority when an STD PCO is allotted to him.
(x)
Incoming call facility will be allowed on all STD PCOs.
(xi)
Shifting of STD PCOs within the local areas is permitted, normal shifting charges applicable to DEL will be levied.
(xii)
Periodical surprise checks should be done to see that the allottee charges customers as per the guidelines given by Department of Telecom.
(xiii) Guidelines for applying for PTs and rural governing them should be published in the commercial information pages of the telephone directory.
(xiv) Periodical advertisements may be inserted in local newspapers, when sufficient number
	of application are not forthcoming.
II.
RURAL
Apart from the general conditions the following have to be followed in respect of rural STD PCO operation. The normal STD PCO is defined for this purpose as one working in an exchange system which has a total capacity of 512 lines and less:
1. A minimum guaranteed revenue per PCO per month in the case of rural STD PCOs is fixed as Rs.100/-.
2. A security deposit of RS.6001- based on six months guaranteed revenue or monthly average revenue whichever is higher has to be deposited by the allottee of the STD rural PCO.. This average revenue is calculated on the basis of the revenue of the previous six months.
3.
Weekly billing cycle would be followed for recovery of STD PCO charges.
III. NON-RURAL (URBAN)
Apart from the general conditions above, the guidelines detailed below have to be followed in respect of the STD PCOs scheme in Non-rural areas:
1. Atleast one STD PCO may be made available for about every 100 dwelling I Business Premises.
2. While selecting the location for allotment of PCO, the SSA Head will consult the local bodies like Municipality, Public Institutions etc. to allocate convenient places for the PCO Booths. The important places given below should invariably be covered while selecting the location of PCO  booths.
-Commercial Housing Societies
-Resettlement Colonies

Asstt. Director General (PHS)

-Government Colonies
-Family Quarters of Defence Personnel
-Students Hostel
,
-Bus Stands
-Tourist Centres
-Airports
-Pilgrim Centres
-Railway Stations
-Charitable Institutions
-Hospitals
-Educational Institutions, Public Libraries
4. A minimum guaranteed revenue per PCO per month to the Department in the case of Non-rural (Urban) STD PCOs is fixed as RS.1600/-.
5. The amount of security deposit will be RS.5,OOO/- or an amount equal to the average monthly revenue whichever is higher. The average monthly revenue will be calculated on the basis of previous six months revenue.
6. Fortnightly billing cycle will be followed for recovery of STD PCO charges. If the charges are heavy, weekly billing may be resorted to by local telecom authority.
(K. V Krishnamurthy)